Free Online Mortgage Calculator

Why use Mortgage Calculator

• Includes property tax, insurance, and PMI so you see the real monthly cost, not just principal and interest.
• Interactive amortization chart makes the long-term cost of the loan visible at a glance.
• Switch between 15-year and 30-year terms and see the total interest difference in seconds.
• Experiment with rates and terms freely -- no account, no credit pull, no lender pitch.
• Monthly and yearly schedule views let you zoom in on individual payments or see the big picture.

How it works

The monthly payment is computed using the standard amortization formula: M = P * [r(1+r)^n] / [(1+r)^n - 1], where P is the loan principal, r is the monthly interest rate (annual rate / 12), and n is total monthly payments (years x 12). Each row of the amortization schedule is generated iteratively: the interest portion equals the outstanding balance times the monthly rate, the principal portion is total payment minus interest, and the balance is reduced by the principal portion. Property tax and insurance are added as flat monthly amounts. PMI is estimated as an annual percentage of the original loan amount, divided by 12, and included until the balance drops below 80% of the home value.

About this tool

Trying to figure out what a house will actually cost you each month? Enter the loan amount, interest rate, and term to get your monthly payment, total cost, and a principal-versus-interest breakdown. The standard amortization formula drives everything: M = P x [r(1+r)^n] / [(1+r)^n - 1], where P is the loan principal, r is the monthly rate (annual rate / 12), and n is total payments (years x 12). An interactive chart shows how the balance drops over time and how the principal/interest split shifts -- early payments are almost entirely interest, later ones almost entirely principal. Toggle between yearly and monthly views. Add property tax, homeowners insurance, and PMI to see the real monthly housing cost, not just the base payment. Small rate differences matter more than people expect. Going from 6% to 7% on a $300,000 loan adds about $200/month and over $70,000 in total interest. Running the numbers here before talking to a lender gives you leverage in the conversation.

How to use Mortgage Calculator

1. Enter the loan amount. Type the home price minus your down payment into the Loan Amount field.
2. Set the interest rate. Enter the annual rate your lender quoted.
3. Choose the loan term. Pick 15, 20, or 30 years -- or type a custom number.
4. Add extras (optional). Include property tax, insurance, and PMI for a full monthly housing cost.
5. Read the amortization schedule. Toggle between yearly and monthly views to see how every payment splits between principal and interest.

Use cases

• Pre-approved for $380,000 at 6.75%? Compare the 30-year payment ($2,466/month) against the 20-year ($2,893) and decide if $427/month more is worth 10 fewer years of payments.
• Thinking about refinancing from a 30-year at 7.5% to a 15-year at 6.1% -- the amortization schedule confirms $112,000 in total interest saved despite the higher monthly hit.
• Evaluating a rental property: enter the $250,000 loan and check whether projected rent of $2,200 covers the $1,610 payment plus taxes and insurance.
• Budgeting for a first home by working backward from a $1,800/month target -- adjust the loan amount until the payment fits, then use that figure to set your house-hunting ceiling.
• Curious how a half-point rate increase changes the math? Toggle from 6.5% to 7% and watch the 30-year total interest jump by tens of thousands of dollars.
• Parents helping an adult child understand the true cost of homeownership -- run the numbers together and show how much of each early payment goes to interest.